Not all corporations offer voting stock and non-voting stock, nor do all stocks usually have equal voting power. Warren Buffett’s Berkshire Hathaway corporation has two classes of stocks, Class A (Voting stocks -Ticker symbol: BRKA) and Class B (Non-voting stocks - Ticker symbol: BRKB). The Class B stocks carry 1/200th of the voting rights of the Class A, but 1/30th of the dividends.
There are consequences to not releasing voting rights to common shareholders; these include fewer supplicants for a friendly takeover, displeased shareholders as a result of the corporation’s limited growth potential, and difficulty finding bidders for additional non-voting shares in the market.
Final sec. 338 regs. on solely-for-voting-stock requirement. (IRC section 338 regulations on tax-free reorganizations following a qualified stock purchase)
Jun 01, 2001; On Feb. 2, 2001, Treasury issued final Secs. 338 and 1060 regulations (Final Regulations), which include rules for allocating the...
FRB Issues Opinion Letter to Investment Adviser Seeking To Have Affiliated Funds Invest in up to 15% of Voting Stock of Banking Organization.(Federal Reserve Board)
Mar 20, 2008; In this issue: (Financial Services Alert - Developments of Note) FRB Issues Opinion Letter to Investment Adviser Seeking To Have...